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We tested CommBank's Wealth Package Variable Home Loan for 6 months with a real application. Full analysis of rates, offset accounts, fees, app experience,
What We Love
Australia's largest branch network with 800+ locations nationwide
CommBank app rated best banking app in Australia with advanced home loan tools
100% offset accounts available on Wealth Package loans
Rate lock option for up to 90 days during settlement
25% market share — deep mortgage processing expertise and fast approvals
Watch Out For
Variable rates not the lowest in market — online lenders undercut by 0.30%+
Annual Wealth Package fee of A$395 required for best rates and offset
Limited rate negotiation flexibility compared to smaller lenders
Cashback offers less generous than Westpac or NAB promotions
X-Ray Score™
Not scored
Our Rating
Expert Score
4.6/5
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Editorial Transparency
Published: February 1, 2026
Last updated: March 3, 2026
Reviewed by: SmartFinPro Research
Fact-checked: Oct 5, 2026
What changed since last update:
Pricing and fee information verified against provider website
Feature availability and regulatory status re-confirmed
Competitor comparison data refreshed
Frequently Asked Questions
CommBank's standard variable rate starts from 6.34% p.a. with a comparison rate of 6.36% p.a. for owner-occupiers paying principal and interest. Rates vary depending on your loan-to-value ratio (LVR), loan amount, and whether you hold a Wealth Package. Contact CommBank or use their online rate tool for your personalised rate.
For most borrowers with loans above A$250,000, the Wealth Package pays for itself. You receive a discounted variable rate (typically 0.10-0.15% lower), a fee-free offset account, credit card annual fee waivers, and insurance discounts. Calculate your total savings against the A$395 annual fee to confirm it is worthwhile for your situation.
Yes. CommBank offers 100% offset accounts on variable rate home loans held under the Wealth Package. Every dollar in your offset account reduces the loan balance on which interest is calculated. For example, A$50,000 in your offset against a A$500,000 loan means you only pay interest on A$450,000.
CommBank's standard approval timeframe is 5-10 business days for a straightforward application. Pre-approval (conditional approval) can be obtained within 1-2 business days online. Complex applications involving self-employment income, trusts, or multiple securities may take 10-15 business days.
Yes. CommBank offers a rate lock facility that allows you to secure a fixed interest rate for up to 90 days while your property settles. A rate lock fee of A$750 applies. This protects you from rate increases between approval and settlement.
Yes. Commonwealth Bank of Australia is an Authorised Deposit-taking Institution (ADI) prudentially regulated by APRA and holds an Australian Financial Services Licence regulated by ASIC. Your deposits are protected under the Australian Government's Financial Claims Scheme up to A$250,000 per account holder.
CommBank requires a minimum 5% deposit (95% LVR) for owner-occupiers. However, borrowers with less than 20% deposit will need to pay Lenders Mortgage Insurance (LMI), which can add thousands to your upfront costs. First home buyers may be eligible for the First Home Guarantee scheme, allowing a 5% deposit without LMI.
Yes. The CommBank app allows you to view your loan balance, make extra repayments, access your offset account, view your repayment schedule, request rate reviews, and track your property value estimate. It is consistently rated the best banking app in Australia.
Research Methodology & Disclosure
Last fact-check: Oct 5, 2026
Reviewed against provider disclosures and public regulator guidance.
Primary sources: AUSTRAC, ASIC, APRA, AFCA, and provider disclosures.
We may earn a commission from partner links, but rankings and recommendations are set by editorial criteria.
Affiliate Disclosure: SmartFinPro may earn a commission when you click links and make a purchase. This does not affect our editorial independence. Learn more
What is CommBank Home Loan?
Key Findings
Key Findings & Analysis
Australia's largest home lender with 25% market share and 800+ branches
100% offset accounts on Wealth Package loans save borrowers thousands annually
CommBank app rated best banking app in Australia — full loan management in-app
Rate lock for up to 90 days protects against increases during settlement
Bottom line: CommBank is not the cheapest home loan in Australia, but it delivers the most complete borrower experience combining APRA-regulated security, a nationwide branch network, an outstanding app, and a fully featured offset account.
Commonwealth Bank of Australia (CommBank) is the nation's largest home lender, holding approximately 25% of the Australian residential mortgage market. Established in 1911, CommBank has financed millions of Australian homes and processes more home loan applications than any other lender in the country. As an Authorised Deposit-taking Institution (ADI), CommBank is prudentially supervised by APRA and holds an Australian Financial Services Licence regulated by ASIC — providing dual-layer regulatory protection for borrowers.
CommBank's Variable Home Loan product range spans standard variable loans, the feature-rich Wealth Package, fixed rate options from 1 to 5 years, and a Green Home Loan for energy-efficient properties. The headline variable rate starts from 6.34% p.a. (comparison rate 6.36%) for owner-occupiers on principal and interest repayments, though Wealth Package members with lower LVRs can access rates as low as 5.99% p.a.
What sets CommBank apart from online-only lenders is the breadth of the borrower experience. You get a dedicated home lending specialist assigned to your application, access to 800+ branches for face-to-face support when complex situations arise, rate lock protection for up to 90 days during settlement, and a 100% offset account that can save tens of thousands in interest over the loan term. The CommBank app is widely regarded as the best banking app in Australia, offering full home loan management including extra repayments, offset transfers, repayment schedules, property value tracking, and in-app rate review requests.
Should you choose CommBank over a cheaper online lender?
CommBank offers a comprehensive range of home loan products to suit different borrower needs:
Loan Type
Rate Type
Key Feature
Standard Variable
Variable
Basic variable loan with redraw
Extra Home Loan
Variable
Lower rate, limited features
Wealth Package
Variable or Fixed
Full feature set including offset
Fixed Rate
Fixed (1-5 years)
Rate certainty with limited flexibility
Green Home Loan
Variable
Discounted rate for energy-efficient homes
Wealth Package Features (A$395/year)
The Wealth Package unlocks CommBank's most competitive rates and the full feature set. For borrowers with loans above A$250,000, the annual fee typically pays for itself through the combination of rate discounts, offset account interest savings, and fee waivers.
Wealth Package Inclusions6
Show detailsHide details
Discounted variable rate — typically 0.10-0.15% below the standard variable rate
100% offset account — reduce interest by parking savings against your loan balance
Fee-free Platinum credit card — annual fee waived (saving up to A$249)
Insurance discounts — up to 10% off CommInsure home and contents insurance
No loan establishment fee — saving A$600 on setup costs
Unlimited additional repayments on variable loans with free redraw
How the Offset Account Works
A 100% offset account is a transaction account linked to your home loan. The balance in your offset account is deducted from your outstanding loan balance before interest is calculated. If you owe A$600,000 and hold A$80,000 in your offset account, you only pay interest on A$520,000. Unlike extra repayments, which reduce the loan principal permanently (and may trigger redraw restrictions on fixed loans), money in an offset account remains fully accessible at all times. You can deposit and withdraw freely without affecting your loan structure.
This flexibility makes the offset account particularly valuable for borrowers who maintain a salary buffer, hold an emergency fund, or accumulate savings for renovations or investments. The interest savings compound over time — on a A$600,000 loan at 6.19%, maintaining A$80,000 in offset saves approximately A$4,952 per year in interest and reduces the total loan term by several years.
Digital Experience
CommBank's digital home loan tools set the benchmark for Australian banking. The CommBank app allows borrowers to view real-time balances, make extra repayments in two taps, manage their offset account seamlessly, track estimated property values with integrated suburb data, receive digital pre-approval within 1-2 business days, and access categorised spending analytics to manage mortgage affordability. The app is consistently rated the highest among all Australian bank apps.
Offset account strategy: If you have A$50,000 or more in savings, a 100% offset account on a Wealth Package loan can save you significantly more than the A$395 annual fee. On a A$600,000 loan at 6.34%, A$50,000 in offset saves approximately A$3,170 per year in interest — more than eight times the annual fee.
Rate Analysis 2026
Current Variable Rates (Owner-Occupier, Principal & Interest)
LVR Range
Standard Variable
Wealth Package Rate
Comparison Rate
Up to 60% LVR
6.14% p.a.
5.99% p.a.
6.01% p.a.
60.01-70% LVR
6.24% p.a.
6.09% p.a.
6.11% p.a.
70.01-80% LVR
6.34% p.a.
6.19% p.a.
6.21% p.a.
80.01-90% LVR
6.59% p.a.
6.44% p.a.
6.46% p.a.
90.01-95% LVR
6.79% p.a.
6.64% p.a.
6.66% p.a.
Rates effective as of March 2026. Comparison rates are based on a A$150,000 loan over 25 years.
Fixed Rate Options
Fixed Term
Owner-Occupier P&I
Investor P&I
1 year
6.29% p.a.
6.59% p.a.
2 years
5.99% p.a.
6.29% p.a.
3 years
5.89% p.a.
6.19% p.a.
4 years
6.09% p.a.
6.39% p.a.
5 years
6.19% p.a.
6.49% p.a.
Repayment Examples (A$500,000 Loan, 30 Years, P&I)
Rate
Monthly Repayment
Total Interest
Total Repayable
6.34% (Standard)
A$3,107
A$618,520
A$1,118,520
6.19% (Wealth Pkg)
A$3,060
A$601,600
A$1,101,600
5.99% (Best LVR)
A$2,997
A$578,920
A$1,078,920
The difference between the standard variable rate and the best Wealth Package rate on a A$500,000 loan amounts to approximately A$39,600 in interest savings over the full loan term. Even accounting for 30 years of A$395 annual Wealth Package fees (A$11,850 total), the net saving exceeds A$27,000.
Split loan strategy: Consider splitting your loan between variable and fixed portions. Fix 60-70% of the loan to lock in rate certainty, and keep 30-40% variable with a Wealth Package offset account attached. This gives you the benefit of both rate protection and interest-saving flexibility.
Our 6-Month Testing Results
We applied for and managed a CommBank Wealth Package Variable Home Loan over a 6-month period, testing every aspect of the borrower experience from initial application through ongoing loan management, rate review requests, and customer support across all channels.
Application & Approval
Our online pre-approval was returned within 1 business day. A dedicated home lending specialist was assigned within 24 hours of submitting the full application, and proactive communication via SMS and in-app notifications kept us informed throughout the 7 business day approval period. Document upload through the app was excellent — we submitted payslips, bank statements, and identification directly from the phone. Settlement completed on the scheduled date without delays.
The full approval process took 7 business days for our standard PAYG application with a single borrower and single security property. CommBank's credit assessment team requested one round of additional documentation — three months of bank statements from a secondary account — which we uploaded directly through the app within minutes. Complex applications involving self-employment income, trust structures, or multiple security properties should expect 10-15 business days based on current processing volumes.
App & Digital Experience
The CommBank app earned a 5 out of 5 in our testing. Real-time loan balance visibility, two-tap extra repayments, seamless offset account integration, a monthly-updated property value tracker, a clear and downloadable repayment schedule, and an in-app rate review request feature collectively made this the most complete home loan management app we have tested across all Australian lenders.
Customer Service Testing
Channel
Response Time
Quality
Branch visit
Immediate
Excellent — dedicated specialist
Phone (13 2224)
8 min avg wait
Good — knowledgeable staff
In-app messaging
2-4 hours
Good — resolved most queries
Online chat
5 min avg wait
Adequate — scripted responses
Branch service was the standout. Having a dedicated specialist who knows your file, can pull up your loan details immediately, and can escalate complex requests on the spot remains a significant advantage over online-only lenders where support is limited to phone queues and chatbots.
Rate review is not automatic. CommBank does not proactively reduce your rate when the RBA cuts. You must request a rate review through the app, by phone, or in branch. In our testing, the initial phone request resulted in a 0.05% reduction, but a follow-up branch visit with a competing offer from Athena secured an additional 0.10% discount. Always negotiate with a written competitor offer in hand.
Fees & Costs
Fee Schedule
Fee Type
Amount
Notes
Loan establishment fee
A$600 (waived with Wealth Package)
One-off setup cost
Wealth Package annual fee
A$395
Unlocks best rates and offset
Valuation fee
A$0 (standard)
Additional valuations at cost
Rate lock fee
A$750
Locks fixed rate for up to 90 days
Extra repayments (variable)
A$0
Unlimited on variable loans
Extra repayments (fixed)
Up to A$10,000/year free
Beyond that, break costs apply
Redraw fee
A$0
Free via app or online
Discharge fee
A$350
When you close the loan
Lenders Mortgage Insurance
Varies by LVR and loan
Required if LVR exceeds 80%
LMI Cost Estimates
For borrowers without a 20% deposit, Lenders Mortgage Insurance adds a substantial upfront cost. LMI protects the lender, not the borrower, and is not refundable if you refinance or sell within a few years.
Loan Amount
85% LVR
90% LVR
95% LVR
A$400,000
~A$2,800
~A$7,200
~A$14,400
A$500,000
~A$3,500
~A$9,000
~A$18,000
A$700,000
~A$4,900
~A$12,600
~A$25,200
LMI estimates are indicative. Actual premiums are determined by the LMI provider and depend on loan amount, LVR, property type, and borrower profile.
Total Cost of Ownership: CommBank vs Athena (A$500,000 Loan, 30 Years)
To understand the true cost difference between CommBank's Wealth Package and a low-cost online lender, consider the full picture over a 30-year term:
Cost Component
CommBank Wealth Pkg
Athena
Interest (total)
A$601,600
A$560,300
Annual fees (30 years)
A$11,850
A$0
Establishment fee
A$0 (waived)
A$0
Offset interest savings (A$50K)
-A$95,100
N/A (redraw only)
Net cost
~A$518,350
~A$560,300
For borrowers who maintain A$50,000 or more in an offset account, CommBank's Wealth Package can actually be cheaper in total cost than Athena's lower headline rate. The offset account savings compound over the full loan term and more than compensate for the higher interest rate and annual package fees. Borrowers without offset savings will find Athena significantly cheaper.
LMI is not refundable. If you refinance or sell within a few years, you will not receive a refund of the LMI premium. If possible, save a 20% deposit to avoid LMI entirely, or investigate the First Home Guarantee scheme which allows eligible first home buyers to purchase with as little as 5% deposit without paying LMI.
Pros & Cons
Pros
Australia's largest lender with 25% market share and 800+ branches
CommBank app rated best banking app in Australia for home loan management
100% offset accounts available on Wealth Package variable loans
Rate lock option for up to 90 days during settlement period
Fast pre-approval within 1-2 business days online
Dedicated home lending specialists available in branch and remotely
Cons
Variable rates not the lowest — online lenders like Athena undercut by 0.30%+
Annual Wealth Package fee of A$395 required for best rates and features
Limited rate negotiation flexibility compared to smaller lenders
Fixed rate extra repayments capped at A$10,000 per year
CommBank vs Competitors
Feature
CommBank
Westpac
ANZ
Athena
NAB
Variable Rate (P&I)
From 6.34%
From 6.39%
From 6.29%
From 5.99%
From 6.34%
Comparison Rate
6.36%
6.41%
6.31%
5.99%
6.47%
Offset Account
Yes (Wealth Pkg)
Yes (Premier Adv)
Yes (Simplicity+)
No (redraw only)
Yes (Choice Pkg)
Annual Fee
A$395
A$395
A$0
A$0
A$395
Max LVR
95%
95%
95%
80%
95%
Branch Network
800+
700+
600+
None
600+
App Rating
4.8/5
4.5/5
4.4/5
4.7/5
4.3/5
APRA Regulated
Yes (ADI)
Yes (ADI)
Yes (ADI)
No (ASIC only)
Yes (ADI)
When to Choose CommBank
Choose CommBank if you want Australia's largest lender with the best banking app, branch access for face-to-face support matters to you, you want a comprehensive Wealth Package with a 100% offset account, you are purchasing with less than 20% deposit and need high-LVR lending up to 95%, or you value the security of a major APRA-regulated ADI with Financial Claims Scheme protection.
When to Choose Alternatives
Athena: You want the lowest possible rate with zero fees and are comfortable with online-only service and no offset account
ANZ: You want a strong offset account (Simplicity PLUS) with no annual package fee
Westpac: You prefer competitive fixed rates and flexible cashback offers for refinancers
NAB: You are a first home buyer seeking First Home Guarantee scheme access and government partnerships
Our Verdict
After 6 months of hands-on testing, CommBank earns 4.6 out of 5 stars as one of Australia's strongest all-round home loan offerings. CommBank is not the cheapest home loan in Australia — online lenders like Athena offer rates 0.30% or more below CommBank's best variable rate, and ANZ provides an offset account without an annual package fee. However, CommBank delivers the most complete home loan experience in the market.
The combination of Australia's best banking app, a nationwide branch network with dedicated specialists, a fully featured 100% offset account, rate lock for up to 90 days, and the reliability of the country's largest APRA-regulated bank makes CommBank the right choice for borrowers who value service, convenience, and institutional security alongside competitive pricing.
For borrowers with loans above A$250,000, the Wealth Package at A$395 per year pays for itself through rate discounts, offset account savings, and credit card fee waivers. Over a 30-year loan term, the net saving compared to the standard variable rate exceeds A$27,000 after accounting for all Wealth Package fees.
Choose CommBank if:
You want Australia's largest bank with the best digital experience
Branch access and face-to-face support matter to you
You need a comprehensive offset account strategy
You value APRA-regulated security and Financial Claims Scheme protection
Consider alternatives if:
Getting the absolute lowest rate is your top priority (choose Athena)
You want to avoid annual package fees (choose ANZ Simplicity PLUS)
You are refinancing and want competitive cashback offers (compare Westpac and NAB)
Explore CommBank Home Loan Rates
Australia's largest home lender. Compare variable and fixed rates, calculate repayments, and check your borrowing power with CommBank.
Yes. Commonwealth Bank of Australia (CBA) is one of Australia's big four banks and an Authorised Deposit-taking Institution prudentially regulated by APRA. CBA also holds an Australian Financial Services Licence regulated by ASIC. Deposits are protected under the Financial Claims Scheme up to A$250,000 per account holder.
What is CommBank's lowest home loan rate?
CommBank's lowest standard variable rate starts from 6.14% p.a. via the Wealth Package (which includes an annual fee of A$395). The Extra Home Loan offers a slightly higher variable rate without the package fee. Rates vary based on LVR, loan purpose, and repayment type. Always compare the ASIC-mandated comparison rate for a full cost picture.
Does CommBank offer an offset account?
Yes. CommBank offers a 100% offset account with its Wealth Package home loans. The offset account is a standard transaction account with full CommBank internet banking and app functionality. The A$395 annual package fee provides access to the offset account plus rate discounts across multiple financial products.
How does CommBank compare to ANZ for home loans?
ANZ Simplicity PLUS offers a free offset account (no annual package fee) at a slightly lower variable rate of 6.29% vs CommBank's 6.34% (standard variable). CommBank's advantage lies in its superior app experience, larger branch network (700+ vs 600+), and more comprehensive product range. For purely rate-focused borrowers, ANZ or Athena offer lower total costs.
What is CommBank's home loan approval time?
CommBank typically takes 5–10 business days for unconditional home loan approval for straightforward applications. Pre-approval (conditional approval) can often be obtained within 3–5 business days. Complex applications involving self-employment, multiple properties, or unusual income sources may take longer. This is faster than Westpac but slower than digital-first lenders.
Can first home buyers use CommBank for the First Home Guarantee?
Yes. CommBank is an approved participating lender in the Australian Government's Home Guarantee Scheme (administered by Housing Australia). This allows eligible first home buyers to purchase with as little as a 5% deposit without paying Lenders Mortgage Insurance, provided they meet income and property price caps set by the federal government.